Global Chemical Update – Here For You

The Weekly Catalyst

Global Chemical Update – Here For You

Key Points:

• The global chemical cost curve remains in favor of North American production compared to Europe and Asia – the European industry is most at risk of further shutdown from North American competition.  
• Brent Crude values reflect a multi-year high relative to US natural gas, and USGC ethane values have fallen relative to Ex-US naphtha – a plus for North American chemical producers relative to Europe.
• Global spot polymer prices, on average, WoW were marginally higher. However, we find strength in the US and Asia prices relative to Europe, as European premiums face downward pressure in 1H23.